According to forecasts, the withdrawal of the "petrodollar" from the world economy has begun. Russian energy giant Gazprom offered to its European customers that from now on they can pay for crude oil and natural gas purchases in Euro. The move deals yet another if not a final blow to the U.S. dollar's status as the world's reserve currency.
Germany will benefit a great deal from this move as the German state energy companies do not need anymore to exchange Euro to dollar to buy Russian crude oil or natural gas, but they can pay direct with Euro.

In addition, Gazprom announced that customers can pay with Ruble if they wish for their purchases. Several Eastern-European countries as well as China may benefit a great deal from this announcement.

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Anonymous
said...

When they announced sanctions against Russia, I predicted this very outcome (and more) on two forums. I also predicted this to be the first step, followed by others. I'm sure, negotiations are going on with China. I fully expect China get off the US dollar and back the yuan with gold. Russia also has a huge gold hoard and China's is now the biggest; China has been buying huge amounts of gold, plus(!) none of their sizeable domestic production leaves China or even sees the market. Concurrently, China can put all its dollars and Treasurys on the world market (excess of 2 trillion). All these combined would create a world stampede to dump the US $. The outcome is certain. America is as stupid as Great Britain was before both WWI and WWII. WWI already did Britain in economically, except they were not willing to see it. WWII was the death knell of the British Empire. Britain was saved by the US in both wars.

There is NOBODY to save the US (thankfully). The Anglosaxon hegemony and pillage of 300 years and the current American Empire must come to a much awaited and well deserved end - finally.

...Sure, the US media made much noise about fighting terror, restoring democracies and heralding freedoms, but the neo-cons were hardly secretive about the real objectives. They tirelessly warned about the decline of their country's fortunes. They labored to redraw the map of the Middle East in a way that they imagined would slow down the rise of China and the other giants that are slowly but surely standing on their feet to face up to the post-Cold War superpower....The limits of US military power was revealed -- by not winning, it had lost. Its economy proved fragile -- as it continues to teeter between collapse and "recovery". It was left with zero confidence among its friends. As for its enemies, the US was no longer a daunting menace but a toothless tiger....But the US is still being pulled into too many different directions. It has attempted to police the world exclusively for its own interests for the past 25 years. It has failed. "Cut and run" is essentially an American foreign policy staple, and that too is a botched approach....The US has truly lost the initiative, in the Middle East region and beyond it. The neo-cons' drunkenness with military power led to costly wars that have overwhelmed the empire beyond salvation. Now, US foreign-policy makers are mere diplomatic firefighters, from Palestine, to Syria to Ukraine. For the Americans, the last few years have been less a "reality check", more the new reality itself.